Summers Warns ‘Too Early’ for All-Clear on US Financial Turmoil
Former Treasury Secretary Lawrence Summers said it’s too soon to be confident that the US has turned a corner.
Former Treasury Secretary Lawrence Summers said it’s too soon to be confident that the US has turned a corner.
Daily refrain from investors and financial commentators has been to remind anyone within earshot that this banking crisis is not 2008.
Odds of US economy backsliding into a recession are higher now than a month ago after steady interest-rate hikes and growing risks of tighter credit.
Following last week's fireworks after the latest Federal Reserve monetary policy decision, several weekend developments are helping fuel optimism.
Recession chatter is picking back up on Wall Street as markets deal with the blow of several bank failures and the potential economic aftermath.
Bank failures, market turmoil and ongoing economic uncertainty as central banks battle high inflation have increased the chances of a “Minsky moment.”
Is upheaval in the banking sector the prelude to a financial crisis, or just the biggest bump yet on the road to restoring order to the economy?